Proliant announces permeate plans for dairy re-entry

By Neil Merrett

- Last updated on GMT

Related tags Milk

Proliant, a manufacturer of proteins for the food and nutrition
industry, has announced its re-entry into the burgeoning dairy
ingredients market with the construction of a new whey-based
permeate plant in the US.

The company said Friday that it has singed an agreement with Melrose Dairy Proteins (MDP), which will provide it with the permeate for processing at the site.

The facility is expected to be operational in September 2008.

Permeate, which is deproteinised whey, can be used as a natural dairy replacement for whey powders or lactose in a variety of products from instant beverages, bakery mixes and seasoning blends.

As part of the agreement, the new Proliant site, which will be fully funded by the company, is to be constructed next to MDP's cheese and protein plant in Melrose, Minnesota.

The company said it will also process permeate from suppliers other than MDP at the site, which will have an annual deproteinised whey output of 70m pounds (lbs) to supply to both new and former dairy ingredients customers and food manufacturers.

A company spokesperson told that Proliant had been looking for a way back into dairy ingredients production since 2004, when the group sold off its assets in the segment to the Hilmar cheese company.

They added that following the sale to Hilmer, the company had agreed to a non-compete disclosure, meaning it had to look to a new material source for dairy production.

"The company's origins are in taking an under utilised by-product," the spokesperson stated.

"We believe permeate is an under used commodity-based material source that can become increasingly valuable."

Proliant said that the construction and start up at the new plant will be lead by Mike Matter, vice president of the group's dairy operations.

Related topics Ingredients

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